Core Insights - The article discusses the appeal of dividend stocks, particularly those with high yields, while cautioning that unusually high yields may indicate underlying issues with the stock price [1][4] - It emphasizes the benefits of dividend growth investing, which focuses on future income potential rather than immediate high yields [2][3] Dividend Stock Performance - Historical data indicates that high-dividend stocks have outperformed the broader market during periods of high inflation from 1940 to 2021, suggesting a strong performance in certain economic environments [4] - Research from July 1928 to June 2019 shows that high-dividend yield portfolios outperformed low-yield and zero-yield portfolios by 199 basis points and 330 basis points, respectively [5] Methodology for Stock Selection - The article outlines a methodology for selecting dividend stocks, focusing on companies with market caps of at least $2 billion and dividend yields above 6% as of January 9 [7] Company Highlights - **Amcor plc (NYSE:AMCR)**: - Dividend Yield as of January 9: 6.01% - Analyst upgrades indicate strong earnings growth potential through fiscal 2027, driven by synergies and debt reduction [10] - The company is moving forward with a 1-for-5 reverse stock split, expected to take effect on January 15, 2026 [11][12] - **United Parcel Service, Inc. (NYSE:UPS)**: - Dividend Yield as of January 9: 6.07% - Analyst raises price target and reassures that dividend concerns are overblown, with expectations for margin improvement and growth in higher-return markets [13] - Despite a nearly 20% drop in shares in 2025, UPS maintains a strong commitment to its dividend, having consistently increased it since going public in 1999 [14][15]

Core Viewpoint - UPS has seen a significant decline in its stock price, down over 50% from its peak, leading to a high dividend yield of 6.5%. The company faces challenges such as high labor costs, tariffs, and a strategic shift away from reliance on Amazon [1][2]. Group 1: Strategic Decisions - UPS has decided to cut the volumes it ships for Amazon by over 50% by the end of next year, despite Amazon contributing 20% to 25% of its volume, as these shipments have low profit margins [4]. - The company is undergoing a major restructuring to cut $3.5 billion in costs by the end of this year, which includes reducing headcount and closing locations. Additionally, UPS is investing in more profitable business lines, such as healthcare logistics, highlighted by its $1.6 billion acquisition of Andlauer Healthcare Group [5]. Group 2: Financial Performance - In the third quarter, UPS experienced a revenue decline of 3.7% and a 1.1% drop in adjusted earnings per share. However, there are signs of improvement, with U.S. revenue per piece growing by 9.8% and a slight increase in domestic operating margin [6]. - UPS has provided a better-than-expected outlook for the fourth quarter, indicating potential recovery as some headwinds begin to fade [7].

FedEx Corporation (NYSE:FDX) is one of the stocks Jim Cramer commented on along with the recent macro rally. Cramer highlighted that he thinks the company will have a “good run,” as he said: “I think FedEx is a coiled spring. We’ve yet to hear a single disappointing e-commerce story, save Target. Fantastic setup for FedEx, also for J.B. Hunt and ArcBest. I think they’ll have a good run.” Fedex Ground FDX obi-onyeador-8LCZb66I4wg-unsplash FedEx Corporation (NYSE:FDX) provides transportation, shipping, ...

Core Viewpoint - United Parcel Service (UPS) is facing significant challenges, with analysts projecting a decline in earnings and revenue for the upcoming third-quarter results, reflecting ongoing pressures from competition in the logistics sector, particularly from e-commerce giants like Amazon [1][3]. Financial Performance - UPS is expected to report third-quarter earnings of $1.32 per share, down from $1.76 per share in the same period last year [1]. - Projected quarterly revenue is $20.88 billion, compared to $22.25 billion a year earlier [1]. Stock Performance - UPS shares were up 0.24% at $84.25 during premarket trading, but the stock is near its 52-week low of $82.00, with a year-to-date performance down 32% [3]. - The stock is currently trading just below its 50-day moving average of $85.62, indicating potential for a breakout or recovery attempt [4]. - Key support is identified at $83.73, while resistance is seen at $87.43, which traders are monitoring closely [5][7]. Market Position - UPS holds a market cap of $71.24 billion, positioning it among the larger players in the logistics sector, which may provide some stability despite ongoing market challenges [6]. Analyst Ratings - Citigroup analyst Ariel Rosa maintained a Buy rating for UPS but lowered the price target from $114 to $112 [2].

Group 1 - FedEx Corp's stock increased by 2.3% to $232.06 following the announcement of better-than-expected earnings and revenue for the fiscal first quarter, along with an upgraded full-year outlook [1] - Five price-target hikes were noted, with Jefferies raising its target to $280 from $275 [1] - The majority of analysts are bullish on FedEx, with 18 out of 30 analysts giving a "buy" or better rating, and a 12-month consensus target price of $263.39, representing a 15.8% premium to current levels [2] Group 2 - FedEx's stock is recovering from a 17.3% year-to-date deficit and is on track for its best day since August 22, while also bouncing off support at the $225 level [2] - The $240 level is identified as a pressure point after a rejection of a late August rally [2] - In the options market, 43,000 calls and 45,000 puts have been traded, which is 15 times the typical volume for this time [3] Group 3 - The most active options contract is the September 210 put, which is set to expire at the close [3] - Short-term options traders are exhibiting more bearish behavior than usual, with a 10-day put/call volume ratio of 1.31, higher than 90% of readings from the past year [4]

Core Viewpoint - Mullen Automotive has secured a significant order from Cashflow on Wheels for 20 all-electric Mullen THREE vehicles, valued at approximately $1.4 million, aimed at enhancing last-mile delivery efficiency for FedEx and Amazon [2][4]. Group 1: Company Overview - Mullen Automotive is an electric vehicle manufacturer based in Southern California, with production facilities in Tunica, Mississippi, and Mishawaka, Indiana [6]. - The company has recently expanded its commercial dealer network to seven dealers across key U.S. markets, enhancing its sales and service capabilities [6]. - Mullen's vehicles, including the Mullen ONE and Mullen THREE, are certified by the California Air Resource Board and EPA, making them available for sale in the U.S. [6]. Group 2: Cashflow on Wheels - Cashflow on Wheels, founded in 2023, is a logistics company focused on last-mile delivery and transportation solutions, primarily for FedEx and Amazon [5]. - The company emphasizes sustainability and efficiency in its operations, aiming to transition traditional fleets to electric vehicles [3][5]. - Cashflow on Wheels has reported savings of over $500 per route per week by testing electric vehicles, which supports its growth strategy [4]. Group 3: Market Trends - The order from Cashflow on Wheels reflects a growing demand for environmentally friendly commercial vehicles, indicating a shift in the logistics industry towards sustainable practices [4]. - The transition to electric vehicles is seen as a way to reduce operational costs and support future expansion for logistics companies [4].